Landlords of loss-making shops in the Beales Department Store Group are being asked to lower rents or take back their properties.
Although Beales says that most of its 29 stores are profitable, “legacy leases” agreed years ago are dragging the group down.
The company has made it clear that its Diss, Beccles and Lowestoft stores are profitable and are not affected by the negotiations with landlords.
Beales says it is supported by the landlord of 12 of its stores and has called a meeting on March 24 to agree a Company Voluntary Arrangement.
Chairman Stuart Lyons said: “This is a unique opportunity to restore the group to financial health.”